Elder Fraud

6 Tips that Can Help Prevent Elder Fraud

June 27, 2018 | Silver Law Group

You can put these into action immediately

Nobody thinks they will be the victim of fraud, but it happens every day – even to the smartest people. This is why it is always important to be vigilant when it comes to anything involving money. Scammers will never stop scamming, but we don’t have to play into their hands.

Seniors, in particular, have to be aware of the many ways criminals will try to get their money. For people in this age group or those who want to protect parents or grandparents, these tips can help:

Former Broker James Pettit Barred By FINRA

June 21, 2018 | Silver Law Group

Former broker James Albert Pettit (CRD #733916), formerly of Ameriprise Financial Services, Inc. (CRD #6363), was barred by FINRA on 3/26/2018. This is the result of failing to comply with an arbitration award, and providing proof of the compliance. The bar is indefinite, and in all capacities until the award is paid.

Pettit is the subject of two FINRA regulatory actions and one by the state of Connecticut.

Pettit’s former employers include:

Why are the Elderly More Susceptible to Financial Fraud?

June 20, 2018 | Silver Law Group

New research suggests a new reason for the trust seniors place in others

Researchers have long been interested in finding out why the elderly tend to fall for scams more easily than the rest of the population. While cognitive decline and diseases such as Alzheimer’s and dementia have been considered the main culprits in this equation, new research shows another contributor.

As we age, we lose some of our “gut instincts”

Even the Rich and Famous Can be Victims of Elder Financial Fraud

June 13, 2018 | Silver Law Group

This is one accusation comic book legend Stan Lee has made against his former manager

The latest proof that elder financial fraud could affect anyone comes courtesy of 95-year-old comic book legend Stan Lee. The creator of such notable characters as Spider-Man, Thor, and the Hulk recently filed a lawsuit against Jerardo Olivarez, his former manager and a former business associate of Lee’s daughter. In addition to fraud and misappropriation of his name and likeness, Lee has accused Olivarez of elder financial abuse.

Lee’s lawsuit – which was filed in April – calls Olivarez one of several “unscrupulous businessmen, sycophants and opportunists” who tried to take advantage of Lee after his wife Joan died in 2017. The suit alleges that shortly after Joan’s death, Olivarez coerced Lee into firing his long-time banker and lawyer and signing power of attorney over to him. He also convinced Lee to hire his own son as Lee’s attorney.

5 Common Financial Scams Aimed at Seniors

June 6, 2018 | Silver Law Group

Educate yourself so you can protect yourself or your loved ones

While the health of your senior loved ones might be the main thing you focus on, there are other areas you can’t ignore, such as their finances. Just as you want to ensure that they are safe when driving, traveling, etc., you need to do the same for their money.

Unfortunately, older people are preyed upon all the time by scammers and con artists, and research shows that due to diminished capacity or simply higher levels of trust, they often make for easier targets. Here are some of the most common schemes to know about:

Royal Alliance Associates Arbitration Lawyer

June 1, 2018 | Silver Law Group

The recent arrest of former broker Gary Basralian (CRD #14385) for defrauding two clients of $2.1 million also raises allegations of failure to supervise about his brokerage firm, Royal Alliance Associates (CRD #23131.) According to news reports, Basralian embezzled money from two elderly women and used the funds for his own expenses. When the discrepancies were discovered, the elderly victims’ attorney notified both the FBI and DOJ. Both agencies took immediate action, and Basralian was arrested May 23, 2018 on charges of wire and investment adviser fraud. He could face as much as 25 years in prison.

The stockbroker in question allegedly deliberately sought out vulnerable victims who might not notice that he was stealing funds directly from their accounts. Basralian is, himself, 70 years of age—so he likely embezzled from his contemporaries. When the law firm representing the two victims contacted Royal Alliance, Basralian was not immediately terminated, but allowed to resign. He signed a FINRA agreement and was barred from being a broker or affiliated with any broker firms.

But what about the brokerage firm, Royal Alliance, that failed to stop him? And why didn’t Royal Alliance notice or stop Basralian’s unethical activities over a ten-year period? Allegations against Royal Alliance in this case include inadequate supervision of brokers and lax anti-money laundering compliance that allowed this to not only happen, but continue. But this is not the first time Royal Alliance has been host to broker misbehavior, with several instances of “failure to supervise” kinds of sanctions.

Silver Law Group is Investigating Jeffrey Palish of Wells Fargo Clearing Services, LLC for Elder Financial Fraud

May 30, 2018 | Silver Law Group

Jeffrey Palish was barred from association with any FINRA member in all capacities. Without admitting or denying the findings, Palish, a former Wells Fargo stockbroker, consented to the sanction and to the entry of findings that over approximately three years, he converted more than $180,000 for his personal use from an elderly customer by accepting the money with no intent or ability to repay the customer.

Contact Our Firm if You’ve Invested with Jeffrey Palish

If you invested with Jeffrey Palish and believe you have lost money due to his misconduct, you may be able to file a claim to recover your losses through FINRA arbitration. For a free evaluation of your potential case by as securities attorney, please contact Silver Law Group. Our attorneys have extensive experience with elder financial fraud and representing victims of elder investment fraud.

Scott Silver Speaks at Class Action Mastery and Mass Tort Med School Conference

May 30, 2018 | Silver Law Group

Scott Silver was happy to address a packed room of accomplished class action and mass tort lawyers to discuss securities and investment fraud cases and handling FINRA arbitration claims. HB Litigation Conferences is a leading conference coordinator and coordinated a unique conference in the NASDAQ building in Times Square. Scott’s talk focused on elder financial fraud cases, representing investors in securities or FINRA arbitration claims and potential future stockbroker misconduct cases. As a recognized leader in securities arbitration, Scott is a passionate investor advocate, a proponent of improving the FINRA arbitration process and primarily represents investors in securities arbitration claims.

Silver Law Group is one of New York City’s top law firms for representing investors in securities and FINRA arbitration claims. Our attorneys have years of experience and are admitted to practice in Florida and New York representing investors nationwide. If you need a speaker on securities and investment fraud matters, please contact Scott Silver at ssilver@silverlaw.com and visit us at www.silverlaw.com.

Credit Unions Aim to Stop Elder Financial Fraud

May 30, 2018 | Silver Law Group

A new program has launched with the goal of educating everyone about this problem

According to a 2017 survey conducted by the Cooperative Credit Union Association (CCUA), two-thirds of caregivers reported that they had an elderly family member who at one time or another was a target of some sort of fraud or scam. In addition, 28 percent of older people were victims of a scam.

The survey also revealed that only 4 percent of seniors had ever taken a financial literacy class. Overall, almost 40 percent of respondents believed their older relatives were “somewhat” or “not at all” financially literate.

Silver Law Group is Investigating John Greg Schmidt of Stifel Nicolaus & Company, Inc. and Wells Fargo Advisors Financial Network LLC

May 17, 2018 | Silver Law Group

New-York-Broker-Gregory-Flemming-Suspended-by-FINRA-300x200 Silver Law Group is currently investigating Dayton, Ohio based broker John Greg Schmidt regarding complaints pertaining to theft of client funds and elder financial abuse.

Based on FINRA’s BrokerCheck report on Schmidt, a complaint was filed on October 9, 2007 alleging that Schmidt caused an investor client upwards of $500,000 worth of damages due to failing to provide due diligence and theft during his employment at Stifel Nicolaus & Company, Inc. and Wells Fargo Advisors Financial Network LLC. The claim was settled for damages of $80,000 in which Schmidt was required to pay $32,500, Wells Fargo was required to pay $32,500, and Stifel, Nicolaus & Company, Inc. was required to pay $15,000. Additionally, a second claim was filed on 12/04/2017 that is still pending regarding an allegation of theft of client funds. As a result of the second claim, Schmidt was given a permanent suspension from the securities industry.

Schmidt was previously employed at Stifel, Nicolaus & Company, Inc. from 2002 to 2006 and Wachovia Securities Financial Network LLC. from 2006 to 2009 until they merged with Wells Fargo. He was employed at Wells Fargo Advisors Financial Network LLC from 2009 to 2017. According to BrokerCheck, several recently filed arbitration claims allege Schmidt misappropriated or absconded with customer money.